PUBLIC UTILITY VEHICLE (PUV)
MODERNIZATION PROGRAM
PUV MODERNIZATION PROGRAM
Move towards low emission Reform and Improve standards of living Improve welfare of
PUVs consolidate the of drivers, operators, and commuters and
industry their families encourage modal
shift
REGULATORY REFORM LOCAL PUBLIC ROUTE FLEET INDUSTRY
TRANSPORT ROUTE RATIONALIZATION MODERNIZATION CONSOLIDATION
PLAN
FINANCING VEHICLE USEFUL LIFE INITIAL STAKEHOLDER COMMUNICATION
IMPLEMENTATION SUPPORT MECHANISM
REGULATORY REFORM
OMNIBUS FRANCHISING GUIDELINES (OFG)
DOTR Department Order 2017-011
• New LTFRB guidelines on franchise issuance for road based public
transportation services
• Demand-based route planning - local public transport route planning &
route rationalization
• Modernized PUV fleet compliant with safety & environmental laws/
standards
• Fleet/Industry consolidation for efficient operations
REGULATORY REFORM
FOCUS AREAS OF POLICIES IN SUPPORT OF THE OFG
• Equity Subsidy • Transport Safety Officers
• Scrappage • Maximum Distance Policy
• Route Planning • Initial Implementation
• Consolidation of Franchise • Dropping and Substitution
• Operator Selection • Vehicle Specifications
• Transition Period • CPC Validity
• Garages • Fare
• Off-Street Terminals • Appropriation of Abandoned
and/or Expired CPCs
FLEET MODERNIZATION
SAFETY, SECURITY & CONVENIENCE REQUIREMENTS FOR PUVs
FEATURE REQUIREMENT
Clean Air Act complaint engine. Euro 4 emission or better. Electric, Solar,
Environment- friendly
Alternative Fuel
Side door, Speed limiter, Automatic Braking System, Compliant with safety
Safety
standards.
Security CCTV, GPS, Dashboard Camera
Comfort/
PWD/elderly-friendly, Free Wi-fi, AFCS
Convenience
FLEET MODERNIZATION
The PNS 2131:2018 for Class 1 PUV and
PNS 2126:2017 for Class 2 and 3 PUV
were released. As of 05 March 2021,
some 75 PUV models from 36
manufacturers were already given
COCs.
CLASS 2 CLASS 3
INDUSTRY CONSOLIDATION
BEFORE PUVMP
“One Franchise, One Operator, One Unit” scheme
UNDER THE PUVMP
Existing operators are required to strategically merge and form either a
cooperative or corporation which shall own and operate the fleet.
• Organized Dispatching System and Fleet Management
• Spreading of Capital Expenses and Operating Expenses as well as Maintenance
Costs and access discounts for bulk purchases
INDUSTRY CONSOLIDATION
The existing operators have until the end of PUVMP transition period to file
applications for consolidation of CPC to get preferential treatment as an area-
based operator during operator selection/franchise application under the prior
operator rule.
If no existing operator shall file for consolidation in an existing route until
[end of the transition period], and the said route has been retained after
the approved LPTRP/Route Rationalization Study, the Board shall open the
said route for application to qualified new entrants. Operators who failed to
consolidated may still be allowed to participate when their routes are
opened for new entrants, but shall no longer enjoy area- based operator
preference.
LTFRB MC 2019-066
FINANCING
OBJECTIVES
• Address the lack of financial capability for the drivers and operators to embrace
the project.
• Provide access to funding for the operators and drivers by giving them the
special loan program with the following features: low down payment, low-
interest rates, and long payment period.
The equity subsidy was increased from Php 80,000 to Php 160,000 per unit to
address the increasing market price of modern PUVs.
VEHICLE USEFUL LIFE
OBJECTIVES
• Ensure that old PUVs are taken off the road, surrendered and its components are
properly and responsibly disposed of
• Identify profitable industries where the scrapped PUVs (or its parts) may be used
• Provide additional capital to the operator using the scrap value
As part of the short term plan, the Department released DO 2020-021 on Accreditation
of scrapping facilities.
STAKEHOLDER SUPPORT MECHANISM
OBJECTIVES
• Provide a social safety net to the drivers and operators who may be displaced
as a result of the rationalization
• Enhance or build new skills of operators and drivers who are willing to
continue with the PUVMP and those who will be displaced or opt out of the
industry
For the Tsuper Iskolar Program, a total of 690 were approved for Region III.
TRANSFER PLAN
Should there be decrease in units on an existing route as a result of LPTRP
or Route Rationalization Study, the consolidated operator shall file a
petition assigning its excess units to the nearest adjacent route covered
under the consolidated operator's area of operation.
LTFRB MC 2019-013
LOCAL PUBLIC TRANSPORT ROUTE
PLANNING
Make the routes more Determine the appropriate Get insider’s view and
responsive to passenger vehicle type depending on apply participatory
demand passenger demand road planning
hierarchy and configuration
ROUTE RATIONALIZATION
MUCEP AREA
● Balagtas ● Meycauayan City
● Bocaue ● Norzagaray
● Bulacan ● Obando
● Calumpit ● Pandi
● Guiguinto ● Paombong
● Hagonoy ● Plaridel
● Malolos City ● Pulilan
● Marilao ● Santa Maria
● San Jose Del
Monte City
ROUTE RATIONALIZATION
MUCEP AREA
The short-term route rationalization plan and
the calibrated MUCEP model is expected to be
finalized this 2Q 2021.
Stakeholder consultations are also expected to
commence this 2Q.
LPTRP is a plan detailing the route network, mode, and
required number of units per mode for delivering land
transport service, which shall be the minimum requirement
prescribed for the issuance of PUV franchises. This shall form
part of the Local Transport Master Plan which relates land
use to transport modes and provides measures for traffic
management.
DILG-DOTr JMC No. 001, s. 2017
Is the LPTRP complete and Data Gathering and Analysis, Planning, Engineering, Traffic
compliant? Submission Offices
EVALUATE PLAN FORMULATE PLAN CREATE TWG
LPTRP is found to be complete LPTRP routes is adopted by the Routes opened for operator
and compliant Sanggunian selection
ISSUE THE NOC ENACT ORDINANCE APPLY FOR CPC
The LPTRP shall be revised at least once every three years after the last
approval.
DILG-DOTr JMC No. 001, s. 2017
An initial assessment of the approved LPTRP shall also be done at least 6
months after it was implemented or MC opening the approved routes for
franchise issuance or operator selection was issued.
DOTr DO 2017-011
Non-compliance is tantamount to dereliction of duty and shall be dealt in
accordance with applicable Civil Service Rules and Regulations, and other
pertinent laws, rules, and regulations.
DILG MC No. 2018-060
STATUS OF LPTRP SUBMISSION
LGU NO. OF DRAFTS STATUS
SUBMITTED
Province 1 Revising draft plan
Bustos 1 Revising draft plan
“Based on the data given by LTFRB to the LGUs, these are the following public utility jeepney
routes/franchise recommended by the LPTRP Team of Bulacan to be retained for the Intra-Province or the
Inter-Municipality trips (Trips within the province of Bulacan). These routes transport commuters from one
municipality to another within the jurisdiction of the province of Bulacan.”
Bulacan draft LPTRP v. 1
“Based on the submitted summary of routes as per municipalities and cities, these are the recommended
routes by the provincial LPTRP team for new and developmental routes for the province of Bulacan. Table
49 contain[s] the route name, estimated travel times, estimated distance, type or mode of vehicle
recommended.”
Bulacan draft LPTRP v. 1
PUBLIC TRANSPORT MODES
BUS MINIBUS UV EXPRESS JEEPNEY FILCAB
50 (50-60) 35 (30-40) 22 (22 and up) 20 (18-22) 11 (9-13)
Point-to-point Pick-and-drop Point-to-point Pick-and-drop Pick-and-drop
Pick-and-drop
DIFFERENT SERVICES
Provincial route
Local route (LIMITED STOP)
Local route
(PICK-AND-DROP)
(LIMITED STOP)
MAXIMUM DISTANCE POLICY
15 kms 35 kms none
JEEPNEY/FILCAB UV EXPRESS MINIBUS/BUS
MAXIMUM DISTANCE POLICY
1
EXEMPTIONS
There is an absence of a transfer area between route ends
There is an absence of alternative transport services, existing services/supply cannot
2 meet the passenger demand, or the route has no transport services available
Most sections of the route have limited road space or width, which
3 discourage/prevent normal operations
The transportation demand between the applied routes is not substantial to assure
4 profitable operations
WORKSHOP 1
CHECK NON-MUCEP ROUTES
Angat Guiguinto
Paombong
Balagtas Hagonoy
Plaridel
Baliuag City of Malolos
Pulilan
Bocaue Marilao
San Ildefonso
Bulacan, Bulacan City of Meycauayan City of
San Jose del Monte
Bustos Norzagaray
WORKSHOP 2
CHECK REDUNDANT ROUTES
Check the LTFRB list and group similar routes.
LUBAO - SAN FERNANDO via Guagua PUJ 88
LUBAO (Remedios) - SM/ROB. (P) via O.G Road PUJ 72
WORKSHOP 3
VERIFY LTFRB LIST
Check the LTFRB list and check if the routes are observed to be not operational (pre-pandemic).
1 Apalit-Baliti via Macabebe
WORKSHOP 4
LIST DOWN COLORUM ROUTES
Also include “colorum” routes and the estimated number of units
Route Mode Est. No. of Units
MAPPING THE EXISTING SITUATION
ROUTES PORTS FACILITIES
All existing routes All off-street land Commercial, industrial,
including “colorum” terminals, airports, and residential, educational
routes seaports facilities
WORKSHOP 5
MAP ROUTES
Map all existing authorized routes and “colorum” routes.
WORKSHOP 6
FOR DISCUSSION
Where do people usually go?
Is this reflected in the maps?
Do we need to augment the existing services?
WORKSHOP 7
FOR DISCUSSION
Are there off-street land terminals?
City Name Routes catered Modes Capacity
catered
OVERLAPS
STRUCTURE/ALIGNMENT SERVICES
MINIMIZING OVERLAP
MAKE FEEDER ROUTES
Cut routes to terminals or to transfer areas.
OFFER DIFFERENT SERVICE
Differentiate services by assigning specific
stops for each
MERGE ROUTES
MINIMIZING OVERLAP
ADDRESSING OVERLAPPING SECTIONS
Identify main public transport line/s
Identify main terminal and transfer areas
Cut overlapping routes
MINIMIZING OVERLAP
OVERLAPPING SERVICES
Identify services provided by overlapping
routes
Differentiate services by assigning specific
stops for each
WORKSHOP 8
LIST DOWN OVERLAPPING ROUTES
Check the map and point out overlapping routes.
Route Mode No. of Length Overlapping Sections Length % of % of
Units shorter longer
route route
Overlap Route 1a PUJ 10 20km 100% -
AAA St. to BBB St. 20km
Overlap Route 1b PUJ 15 25km - 80%
WORKSHOP 9
CHECK OVERLAPPING SERVICES
Check if the listed routes offer the same service
Route Mode No. of Length Overlapping Sections % of % of
Units shorter longer
route route
Overlap Route 1a PUJ 10 - 80%
AAA St. to BBB St.
Overlap Route 1b PUJ 15 100% -
WORKSHOP 10
CHECK OVERLAPPING SERVICES
Enumerate stops for those overlapping routes with the same service.
Route Mode Stops
Overlap Route 1a PUJ AAA - BBB - DDD - FFF
Overlap Route 1b PUJ AAA - BBB - CCC - DDD - EEE - FFF - GGG
WORKSHOP 11
MINIMIZING OVERLAPS
Present the listed routes and corresponding maps, and discuss ways forward.
The city shall first present its overlapping routes and discuss ways forward as their routes will
serve as major routes.
END OF WORKSHOP 1